The Research On The Synergy Relationship Of Micro-Credit And Agriculture Insurance

Three rural issues have always been about social stability and economic development of the important problems in our country, to solve the three rural issues can’t depart from the support of rural finance, and the the development of rural finance in rural areas need to accelerate financial product and service innovation, establish a multi-level, wide coverage, moderate competition of a rural financial service system. The cooperation of Credit and insurance as one of the more influential financial innovations in our nationwide country, has received the widespread attention, The No.1Document of the Central Committee of Chinese Communist Party also mentioned several times in recent years to strengthen the cooperation of credit and insurance. The cooperation of credit and insurance, however, only successes in the pilot areas of a small area, and in the whole country they have uneven development, the research that the synergic relationship of credit and insurance is of great significant on its implementation of the nationwide.Meanwhile, the micro-credit and agricultural insurance is an important part of rural finance, and also an important representative of rural credit and insurance, so studying on the synergic relationship of micro-credit and agriculture insurance has representativeness and meaningful.At first, This paper attempts to analyze micro-credit, agricultural insurance respective situation and development problems, and preliminary find out the correlation between agricultural insurance and micro-credit, then put forward and put forward the micro-credit and agricultural insurance joint development of ideas. Secondly, analysing on the perspective of realistic motivation and theoretical basis, we find that it is necessary and feasible to joint the development of credit and insurance in our country of current environment,and they also generate synergistic effect. Then, through the game theory analysis,and further demonstrate the synergy between the micro-credit and insurance,and prove that it is a win-win choice, and further conclude that stable development of common the micro-credit and agriculture insurance needs government, micro-credit institutions and insurance companies to jointly coordinate. Finally, based on the2001-2011micro-credit with agricultural insurance data correlation and regression analysis, the results between the two has significant synergies, based on the these conclusions, we put forward to increase farmers demand, deepen the coordinated development and build a sound regulatory and policy system policy recommendations to promote the coordinated development between the two.